"Why India Matters..." Jeong Eui-sun's Response Proposing a Local Town Hall Meeting

Hyundai Motor Chairman Chung Eui-sun Visits Indian Plant
Strengthening Position as a Key Mobility Company Amid Growth

Hyundai Motor Group Chairman Chung Eui-sun visited the company's India plant on the 23rd (local time) to check the local market situation and held a town hall meeting with employees, the company said. This town hall meeting was proposed by Chairman Chung and is the first among overseas business sites. Previously, two such meetings were held domestically.

India is the largest overseas business site established by Hyundai Motor Group. Last year, Hyundai produced about 760,000 vehicles and Kia about 320,000 vehicles, totaling approximately 1.08 million units, which were sold locally and exported to neighboring countries. This is Chairman Chung's second visit to India following his visit in August last year. This indicates that India has become an important business hub at the group level. It is interpreted as a move by Hyundai Motor Group to solidify its position as a key mobility company locally amid rapidly changing market conditions.

Hyundai Motor Group Chairman Chung Euisun and executives are taking a commemorative photo with employees after finishing the Hyundai Motor India Regional Headquarters town hall meeting on the 23rd (local time).
[Photo by Hyundai Motor Group]

India's overall national economy is rapidly growing, and its automobile market is also expanding rapidly. Last year, it rose to the world's fifth-largest economy, and there are forecasts that it will surpass Japan next year. India is pursuing a mid- to long-term plan to become a developed country by its 100th independence anniversary in 2047. The annual new car sales volume is about 5 million units, ranking third after China and the United States. To increase the share of electric vehicle sales to 30% by 2030, India is actively pursuing electrification policies such as attracting electric vehicle factories and lowering tariffs on imported electric vehicles.

Hyundai Motor Group is preparing a mid- to long-term strategy to mark the 30th anniversary of its entry into India the year after next. First, it will revamp the plant acquired from General Motors (GM) in Pune, located in the central-west region, to have an annual production capacity of 200,000 units. Kia's production capacity will also increase to 431,000 units in the first half of this year. Once the Pune plant is fully completed in the second half of next year, combined with the existing Chennai plant, Hyundai will have an annual production system of 1 million units. Including Kia, annual production capacity in India will reach 1.5 million units.

Electric vehicles will also begin to be produced at the local Indian plants in the second half of this year. Starting with electric sport utility vehicles (SUVs) at the Chennai plant, five electric vehicle models will be introduced by 2030. The number of charging stations will be increased to 485, focusing on local dealerships. Kia plans to start producing small electric vehicles from next year and gradually increase production. Hyundai Motor Group recently signed a business agreement with Indian company Exide Energy to use locally made batteries in electric vehicles produced in India.

Hyundai Motor India Chennai Plant Production Line [Photo by Hyundai Motor Group]

Hyundai Motor India Chennai Plant Overview [Photo by Hyundai Motor Group]

The town hall meeting was held at the new Delhi headquarters with about 400 local employees, including executives such as President Jang Jae-hoon and Kim Eon-su, head of the India, Asia, and Middle East region. About 3,000 employees from distant factories and regional headquarters joined via video conference. Employees asked questions about the vision for India, Hyundai's growth factors, and plans for the electric vehicle business in India, as well as other work and business issues. They were also curious about Chairman Chung's daily life.

Chairman Chung emphasized a customer-oriented philosophy, stating, "The reason we work is the customer, and doing our best for the customer ultimately improves everyone's life." Regarding why he proposed the town hall meeting himself, he said, "The smooth progress of various bold and daring projects being promoted in the India region is thanks to your creative and innovative efforts," and added, "I wanted to meet you directly to hear your voices and communicate."

He cited the trust of Indian customers, the dedication of local employees, and technological capabilities as the reasons for success. He said, "The favorable conditions of the Indian automobile market and Hyundai's expertise and technological capabilities in small cars created synergy and produced results," and "The most important factor is, of course, the dedication of Hyundai Motor India region employees." He encouraged employees by saying, "The success of the past 28 years does not guarantee future success, but I am confident that you will create a successful future."

Hyundai Motor Group Chairman Chung Euisun is taking a commemorative photo with employees after finishing the Hyundai Motor India Regional Headquarters town hall meeting on the 23rd (local time).
[Photo by Hyundai Motor Group]

Despite a sharp decline in production in China and Russia, Hyundai Motor Group's good performance was largely supported by growth in India. Chairman Chung said, "The India region is one of the regions that contributed most to Hyundai Motor Group's growth. Even during the COVID-19 pandemic, it overcame numerous crises such as the global economic downturn and supply chain disruptions and consistently delivered good results," adding, "As we expand business into Asia, the Middle East, and Africa, we will develop India as a global export hub."

When asked about books that deeply influenced his business and leadership, he recommended books related to Admiral Yi Sun-sin and Professor Peter Drucker. He introduced Admiral Yi Sun-sin as an outstanding leader and engineer and said that he learned a customer-focused attitude from Professor Peter Drucker. After the town hall meeting, the company said Chairman Chung stayed until the end, taking group photos and responding to employees' selfie requests.

Hyundai Motor Group Chairman Chung Euisun is touring the newly completed Delhi office building earlier this year.
[Photo by Hyundai Motor Group]

Hyundai Motor Group Chairman Chung Euisun and executives are taking a commemorative photo with employees after concluding the Hyundai Motor India Regional Headquarters town hall meeting on the 23rd (local time).
[Photo by Hyundai Motor Group]